CAPITALISATION: FIDELITY BANK OPENS N127BN PUBLIC OFFER

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Olori Uwem

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Mar 18, 2024
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CAPITALISATION: FIDELITY BANK OPENS N127BN PUBLIC OFFER

Fidelity Bank has initiated a public offer and rights issue to raise N127.1 billion to comply with the Central Bank of Nigeria’s new capitalisation requirements. The bank aims to collect N97.5 billion from the public offer and N29.6 billion through a rights issue, offering existing shareholders one new share for every ten held at N9.25 per share.

Key details include:
- Public Offer: 10 billion shares at N9.75 each.
- Purpose: Investment in IT infrastructure, business expansion, and product distribution.
- Managing Entities: Stanbic IBTC Capital as the Lead Issuing House, with several other firms as Joint Issuing Houses.
- Timeline: The offer will be open from June 20 to July 29, 2024.

The bank's capital raising aligns with the CBN's directive to bolster the capital bases of Nigerian commercial banks.